Apple (AAPL) and Amazon (AMZN) are enhancing their platforms with artificial intelligence (AI). Apple is integrating “Apple Intelligence” into its operating systems, while Amazon’s cloud service, Amazon Web Services (AWS), supports AI for enterprise solutions. Global AI spending is projected to reach $2.52 trillion by 2026, a 44% increase from 2025, positioning both companies favorably as they expand their AI capabilities.
Apple’s recent collaboration with Alphabet for AI features utilizes Google’s Gemini models to enhance its applications, with financial data indicating a strong cash reserve of $132.42 billion as of December 2025. In contrast, Amazon is significantly investing in AI, with capital expenditures expected to rise to $200 billion in 2026, primarily for AWS infrastructure. The company’s partnership with OpenAI includes a commitment of up to $50 billion to develop AI technologies.
For fiscal 2026, Amazon’s earnings are estimated at $7.78 per share, reflecting an 8.5% increase from 2025, while Apple’s earnings are projected at $8.41 per share, indicating a 12.7% growth. As of the current year, Apple shares have decreased by 7.5%, and Amazon shares by 8.9%. Valuation metrics reveal that Apple trades at a forward Price/Sales ratio of 7.74x, compared to Amazon’s 2.73x, suggesting a premium valuation for Apple as it capitalizes on its AI advancements.
